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Most of these organizations are funded with the money they collect from conducting assessments of member insurers. The total payout in most states is capped at $300,000 per individual.
The health insurance protection for which the Guarantee Association may become liable shall be the contractual obligations for which the insurer is liable or would have been liable if it were not an insolvent insurer, up to a maximum benefit of $200,000.
The intent of this material is to explain briefly, in non-technical language, how the Indiana Life and Health Insurance Guaranty Association provides protection to policyholders in the event their insurance company becomes insolvent and is ordered to be liquidated by a court.
The maximum total amount the Guarantee Association will provide for any one individual for life insurance and annuity coverage is $300,000, even if that individual is covered by multiple life insurance policies and annuities.
Yes. If your insurance company has been declared insolvent, covered claims will be paid by the guaranty association up the limits (cap) prescribed by state statutes and the applicable policy. Although there is no maximum for workers compensation claims, the maximum amount WAGA can pay on other claims is $300,000.
Protections and Limits on Protection The Guaranty Fund provides up to $500,000 of coverage to a life insurance policy owner, individual annuity (such as a single premium deferred annuity) contract holder or individual accident and health insurance policyholder, or any beneficiary, assignee, or payee of the foregoing.
$100,000 in net cash surrender or withdrawal values for life insurance. $250,000 in present value of annuity benefits, including cash surrender and withdrawal values (payees of structured settlement annuities are also entitled to $250,000 of coverage) $300,000 in long-term care insurance benefits.